Tue Oct 25 21:29:04 SAST 2016
Mkhwebane leaves Zuma‚ Van Rooyen interdicts

The new public protector says she will leave the dispute over the state capture report prepared by h.

SA's trade controls are necessary, say experts

By unknown | Oct 03, 2007 | COMMENTS [ 0 ]

Zweli Mokgata

Zweli Mokgata

Difficulties in trading with foreign countries may be hurting South Africa's economic growth, but the country's stringent export-import controls are for its own good, according to industry insiders.

Last week's World Bank Doing Business Survey revealed that South Africa was lagging behind most countries in the world in the ease of trading across borders. South Africa was placed 134 out of the 178 countries measured.

According to the report, it takes 30 days to export a standardised container at a cost of $1087 (about R7522) after filling in eight separate documents.

Bumbo trading, a South African company that makes baby products, sells 99,5percent of its products to the UK and the USA, said Bumbo marketing manager Donald Pillai.

"We found that there was a bigger market for our specialised products," said Pillai. "We have been able to find a lot of buyers there. Our local market is very minimal."

As an exporter Pillai said that the company was able to easily market their products overseas.

HMCS Imports director Gert Gouws said that importers in South Africa only had to pay 14percent in duty charges.

"It is very easy to have goods brought into the country," he said.

"I can't see where the ranking came from. The only things that are difficult to bring into the country are illegal products (drugs, counterfeit and stolen goods) and Chinese clothes, which the government has placed quotas on.

"The only thing that is a hassle is acquiring an import licence, which can take up to two years for the South African Revenue Service to award," Gouws said.

"The main reason for this is money laundering. You can send as much money as you want out of the country if you have this licence," he said.


Login OR Join up TO COMMENT